Nigeria Misses Out as 9 Best Countries in Africa to Become Entrepreneur Emerge
- Nigeria has missed out on the top nine spots as one of the best countries to be an entrepreneur in Africa
- The top positions occupied by South Africa, Egypt, Morocco, and Tunisia, among others
- The recent report looked at several factors such as infrastructure, access to the internet and legal framework
Despite Nigeria making giant strides in entrepreneurship and producing some of Africa’s biggest fintech and unicorns, the country is not ranked as one of the top places to be an entrepreneur in the continent.
Other countries such as South Africa, Egypt, Morocco, Tunisia, Algeria and Cameroon are among the top choice for entrepreneurs on the continent.
Source: Getty Images
Despite Egypt having the higher number of entrepreneurs with over 100 million entrepreneurs, South Africa has the highest entrepreneur hip score of 15 per cent with over 64 million people as entrepreneurs in the country.
What Entrepreneurs want
In May 2021, the Tony Elumelu Foundation (TEF) in partnership with Stanford University released a research report on African entrepreneurs.
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The report said women and men described their business motivations differently, especially in relation to their customers and products.
According to them, male entrepreneurs on the continent were more interested in profit and growth or capital while female business owners were more concerned about social impact through specific products, services and industries.
The report used data gathered from almost 140,000 African entrepreneurs that applied to the Tony Elumelu Foundation Entrepreneurship Programme over the course of two years.
It was gathered that access to capital was seen as the most critical for most entrepreneurs in Africa. Per the report, small businesses in Africa will dream bigger and launch bigger products if they had access to more funding but would restrict their ideas due to a paucity of funds.
Africa has highest number of entrepreneurs in the world
The research report stated that Africa has the highest number of entrepreneurs globally.
The African Development Bank said about 22 per cent of Africa’s working-age population is starting businesses, the highest in the world.
The entrepreneurial rate ranges from 9 per cent in Algeria to about 4 per cent in Africa and Zambia, a separate report said.
The reason is due to the income level of the African countries. Weak and poor economies tend to have a higher percentage of their population engaged in entrepreneurship, mostly out of necessity.
Top nine countries to be entrepreneurs in Africa
Another report by US News and World Report revealed 85 best countries for entrepreneurship in the world. The list was determined using data such as connection to the rest of the world, educated populace, entrepreneurship, innovation, easy access to the capital, skilled labour force, technological expertise and transparent business practices, according to Business Insider.
Others include well-developed infrastructure, well-developed digital infrastructure and a well-developed legal framework.
New report ahows African countries with the nighest number of eomen entrepreneurs
Recall that Legit.ng reported that the 2021 Mastercard Index of Women Entrepreneurs has ranked Botswana, Uganda and Ghana as the countries with the highest number of female entrepreneurs for the third consecutive year.
Botswana came tops with a 38.5 per cent increase in women who run businesses in the country, followed by Uganda at 38.4 and Ghana at 37.2 per cent.
Business Insider said the index is calculated as a percentage of total business owners. This edition of the ranking spotlights the impact of women businesses on the socio-economic contribution of women entrepreneurs across the globe, including in Africa and it gives insights into the elements propelling and hindering their progress.
Source: Legit.ng
